The role of customer centric products in changing business...
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The role of customer centric products in changing business models African Microfinance Conference August 2013
Transcript of The role of customer centric products in changing business...
The role of customer centric
products in changing business
models
African Microfinance Conference
August 2013
How was instant coffee perceived by housewives in the 1950s?
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Consumer insights lead to new ideas
Ingoing
perception:
Housewives
would appreciate
the efficiency
Consumer
insight:
Thought it made
them ‘lazy
housewives’
New
Marketing:
Liberates time
for more
important duties
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Needs, not products
CORE
ACTUAL
AUGMENTED
Developed by Monica Brand, Accion
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Hear from a provider in India: Janalakshmi Financial Services
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Strategies for client centric financial inclusion
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Understand Current/Potential
Customers
Make the Economics/
Business Case Work
Design Effective Organizational
Delivery
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Benefits of client-centricity
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CUSTOMERS
• Diverse needs met with better financial solutions
• Greater social welfare benefits from access to finance (resilience, economic opportunities)
PROVIDERS
• Gaining greater share of wallet now and over time
• Reaching new markets and client segments
ECOSYSTEM
• More robust and responsible system
• Better leverage existing infrastructure
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An integrated approach: KGFS example
KGFS – Wealth Management for the Poor
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Understanding customers – KGFS approach
http://115.113.193.38/fwr/fwr_input.php?customer_id=22679 Wealth Management at the
core
Community-focused financial
intermediation
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Effective delivery and making the business case work
Economies of
scope through
multiple
product front-
end
High reliance
on
technology
for process
efficiencies
Locally
hired and
highly
trained
staff
Strong risk
management
and internal
control
* Source: IFMR presentation December 2011
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Resources
• Lessons from Applied Product Innovation in Three Countries: http://www.slideshare.net/CGAP/api-better-insights-for-better-products
• How Can Institutions Listen and Learn from their Clients: http://www.slideshare.net/CGAP/listening-to-clients
• IDEO Human Centered Design Toolkit: http://www.hcdconnect.org/toolkit/en
• Follow a CGAP demonstration project with a provider in India: http://cgap.org/news/client-centric-financial-inclusion-cgap-and-janalakshmi
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Advancing financial access for the world’s poor
www.cgap.org 12
